Huffington Post Still Losing Money


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Shockingly a left-wing business is better at

1. Taking money

2. Spreading lies

than it is at…

3. Making money

Who could have ever seen this coming? Also who could have ever expected that AOL would make a bad business decision?

The Huffington Post was sold for $315 million nearly three years ago. With AOL’s backing – it has injected tens of millions of dollars into the website.

Its audience has more than tripled from 25 million people before the AOL deal to 84 million at the end of October, according to comScore data. It has branched out to cover lifestyle, entertainment, business and technology, mushrooming to 60 vertical sites from about 20.

And what have AOL stockholders gotten in exchange for all that besides a top 10 list of the most racist tweets by Olympians ever?

But The Huffington Post has yet to turn a profit for AOL, falling far short of Armstrong’s projection at the time of the acquisition that the unit would post $66 million in operating profit in 2013 on $165 million in revenue.

The Brand Group, which includes The Huffington Post, TechCrunch, Moviefone and Patch, reported an adjusted operating income before depreciation and amortization (OIBDA) of $4.6 million for the nine months ending in September. For the same period in 2012, it reported a loss of $41.6 million.

AOL does not break out results for the individual sites. Mark May, an analyst with CitiGroup Research, forecast The Huffington Post will post a loss of about $6 million this year on $100 million in revenue.

AOL has also invested millions of dollars to install professional TV studios to broadcast HuffPost Live, an effort described as the first cable channel on the Web. It combines real-time shows with audience feedback through online comments. Programming runs the spectrum from an interview with U.S. Secretary of Health and Human Services Kathleen Sebelius to “Sexercise 101.”

That’s what AOL stockholders got. Lost money and an interview with Sebelius.  Meanwhile AOL has a higher net loss than the rest of the Brand Group so that websites like TechCrunch are actually subsidizing Arianna’s left-wing mouthpiece.

But wait… there’s a strategy.

AOL executives are betting on international sales to increase profits at The Huffington Post next year. AOL bankrolled the site’s expansion in France, Japan and northwest Africa, and it plans to be in Brazil, India and other countries that collectively generate almost 50 percent of the world’s gross domestic product (GDP) by the end of 2014.

HuffPo is losing money in America where people actually read it. So it’s going to recoup the money by expanding into countries where people have never heard of it.

“Huffington Post has come to the point where it’s a non-replicable asset,” Armstrong, 42, said. “It would take a lot of effort and a lot of money and lot of years to repeat what we have been able to build with them.”

BuzzFeed did it in a short amount of time. It’s not that hard to copy a site consisting of left-wing screeds, pop culture and cat photos.

  • sheikyermami

    PuffHo is financed by petrodollars and subversives like Soros. That Greek harlot Arianna was just a front.

    • Daniel Greenfield

      These days it’s financed by AOL

      • defcon 4

        So they’re just whitewashing islam0fascism in their spare time for free!

    • Crassus

      I read somewhere that Zsa Zsa only pocketed about $6 million or so herself from the sale of PuffyPo to AOL. All the rest went to her investors. At least they got out while the getting was good.

  • Freebyrd1968

    Imagine that, a secular progressive website that doesn’t earn a profit. Sounds kinda like Air America, a progressive radio network that failed. Wonder why they can’t get enough of their followers to listen to them to sell advertising?

  • Albertasoapbox

    There just left wing hacks.

  • Carfilhiot

    It’s not so much that the Huffington Post is leftish leaning, its more that it seems prepared to go to extraordinary lengths to drive away long term commenters. Witness its recent demented insistence that everyone link their account to a verified Facebook account if they wanted to carry on commenting – people left in their hundreds! Previously, hot front page topics would accumulate hundreds of comments – now the totals are way, way down.

    Plus, the whole site is really badly coded; it takes ages to load up and feels laggy and slow. Not a very nice user experience.

    • De Doc

      The moderators are also ridiculously restrictive as well. I still have no idea what the criteria is for a civil and polite post. Mine have never been inflammatory, but anything that even remotely questions the prevailing opinion of the article is usually censored.

    • 1stworlder

      I got banned from there just for telling people to search for the 13yo Obama son that raped a 90yo white woman in Lima OH (which happened during the skittles outbreak” to see proof Trayvon’s picture was from before he hit the teens.
      “Lima police announced the charges against Maurice McGill, who today is 14. He is charged with rape, aggravated burglary, aggravated robbery and abduction. The alleged victim is 91 years old today.”

      • MaryMartha

        Oh, really he has a secret son and you were posting on the Obama’s secret son article, right?

  • Crassus

    Those geniuses who run AOL are probably still waiting for dial-up to make a comeback. That’s how far behind that bunch has gotten.

  • Opinionated_Vogon

    Not to worry, if the shareholders of AOL decide to stop funding perpetual loses, Huffingpoop can always follow the lead of Air scAmerica and steal from children’s charity like the Gloria Wise foundation ;)

  • deehra

    Huffpo now demands a verifiable FB account in order to post on its’ site. They also then publish the poster’s Facebook name.. In short order, it has become a circle jerk.

  • Hard Little Machine

    Huffingpaint Post should look into a paywall. Charge people to read it and certainly charge people to post comments on it.

    • 1stworlder

      Then only George Soros’s paid trolls would be talking to each other.’

  • MaryMartha

    you guys are funny